TCS faces civil rights case in US

The company seeks to give bonus to its staff on the 10 anniversary of IPO

GN Bureau | April 17, 2015


#TCS   #Tata   #software   #consultants   #bonus  

Tata Consultancy Services Ltd is giving bonus to its staff on 10th anniversary of its initial public offer (IPO) and is facing a law suit by a white American worker. He has accused India's largest software services exporter of overwhelming favoritism toward workers of South Asian descent in the United States.

In a complaint filed in San Francisco federal court, Steven Heldt said 95 per cent of Tata's 14,000-person US workforce came from South Asia, primarily India, and that the company has violated federal civil rights law by intentionally favoring them in hiring and promotions.

Heldt said he experienced "substantial anti-American sentiment" in his 20 months at TCS, including from a human resources manager who allegedly called Americans "selfish and demanding" and said "I don't like dealing with Americans."

Despite claiming to have been in the industry since 1996, Heldt said Tata saddled him with "menial" or no substantive work as it shuffled him between several jobs, ending with the Californian's firing in March 2014.

Heldt is seeking class-action status for Tata workers and job applicants in the United States since April 2011 who are not of South Asian race or from India, Bangladesh and Nepal. He seeks a halt to discrimination, and unspecified damages.

Meanwhile, TCS on Thursday said it will give a one-time bonus to all eligible employees to mark the 10th anniversary of its initial public offer or IPO. India's biggest outsourcer will give one week's salary for every year of service rendered, a move that will cost the company $423 million or Rs 2,628 crore.

Employees who have completed at least one year in service will be eligible to receive the one-time bonus, TCS said. TCS employs 3.19 lakh consultants worldwide.

The country's biggest software exporter also announced an average salary hike of 8 per cent for its employees in India. Overseas employees will get an average hike of around 2-4 per cent.

TCS was listed in 2004. Its shares have done exceedingly well as the company notched industry-leading growth rates. TCS is now India's biggest firm with a market capitalization of Rs 5 lakh crore. It's also the country's most profitable firm.

TCS reported a 29 per cent fall in its net profit in the fourth quarter ended March 31, 2015, on a sequential basis. Its net profit fell to Rs 3,858 crore in the fourth quarter.

Comments

 

Other News

3% of medicines are of poor quality: Survey

 More than three percent of medicines in India are ‘Not of Standard Quality’ (NSQ) and 0.0245 percent spurious, reveals a survey report on drugs quality by the ministry of health.  The survey carried out by National Institute of Biologicals (NIB), Noida found that out of the

BEL unveils new weapon system for MBT Arjun tank

 Bharat electronics limited (BEL) has launched a new weapon control system — Remote Controlled Weapon Station (RCWS) / Air Defence Weapon Station (ADWS) for 12.7 mm gun of MBT Arjun Mk II battle tank during recently concluded Aero India 2017 in Bengaluru. The new weapon control system

Sasikala camp in talks with OPS faction

 The Sasikala camp is in talks with the O Panneerselvam (OPS) faction and they are trying to win them over, says an AIADMK insider. Negotiation have started between the main AIADMK, which is with Sasikala, and the splinter group that is supporting former chief minister OPS. The party insider

Stories to read over the weekend

On October 1 last year, Mehtab Alam Ansari, 30, who worked as a tailor in Delhi, had arrived in his village, Chepa Khurd in Barkagaon tehsil of Harazibagh district, to celebrate Eid with his family. That morning, he was nearing Dadi Kalan, a neighbouring village, to meet an acquaintance when he hea

ONGC to invest of Rs 7,327 cr for five projects

  State run enterprise oil and natural gas corporation limited (ONGC) has decided to invest Rs 7,327 crore to develop five projects to produce oil and gas. The decision was taken in its 290th board meeting held on February 23. The projects include development of R-Series fields, incl

Shiv Sena may again ally with BJP

The civic election results could well have long term implications in Maharashtra’s politics, with the Bharatiya Janata Party (BJP) doing dramatically well and the Shiv Sena failing to get a simple majority.   The Shiv Sena won 84 seats, while the BJP bagged 82 seats. Th

Video

Digital Transformation Summit

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter